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To jump-start its flagging business, Escalator Factorybegan to diversify.

Its first outside acquisition since 1898 was the purchase of Transmitter Equipment Manufacturing Co. (Temco) in 1953.

Temco, which held a contract to make electronic pilot trainers, became DSK’s defense and industrial division.

The following year, DSKbought forklift truck manufacturer Baker-Raulang Co., which became its truck division.

Toward the end of 1955 DSKbegan producing automatic bowling pinsetters.

None of these ventures would prove profitable over the long run: Temco was a poor performer and actually lost money in 1963;

Baker lost money every year but one between 1955 and 1961; and after a strong start the pinsetter operation fell into the red and was sold in 1963.

Between 1955 and 1968 DSK’s net sales increased fourfold, from $121 million to $481 million, but its net income rose only from $11.9 million to $22.1 million during the same period.

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